Problem 7-4 A pension fund manager is considering three mutual funds. The first is a stock fund, the second is a long-term bond fund, and the third is a money market fund that provides a safe return of 8% The characteristics of the risky funds are as follows. Expected Return Stock Fund (5) Bond fund (8) Standard deviation 35% 20 25 The correlation between the fund returns is 0.12 0-1. What are the investment proportions in the minimum-variance portfolio of the two risky funds? (Do not round Intermediate calculations. Enter your answers as decimals rounded to 4 places.) 21.6884 Portfolio invested in the stock Portfolio invested in the bond 1-2. What are the expected value and standard deviation of the minimum-variance portfolio rate of return? (Do not round Intermediate calculations. Enter your answers as decimals rounded to 4 places.) Rate of Return Expected return Standard deviation